British Steel has been taken under public control
The government says the decision will protect thousands of jobs across the UK
Last updated 14 hours ago
The Government has announced the nationalisation of British Steel, aiming to preserve steel production at its Scunthorpe site and protect UK supply chains.
British Steel employS hundreds of people, so this will be a welcome boost.
Following the Steel Industry (Nationalisation) Act 2026 gaining royal assent, the Department for Business and Trade highlighted the necessity of maintaining steel output at the Scunthorpe plant, located in Lincolnshire.
Commons Deputy Speaker Judith Cummins conveyed the announcement to MPs, with a new leadership team set to stabilise and transform the business into a "commercially sustainable, low-carbon enterprise," according to the Government's statement.
Prime Minister Sir Keir Starmer emphasised the vital role of British Steel in the national industrial landscape, stating that the decision ensures the future of UK steelmaking, safeguarding jobs and national capability. He remarked that the Government will always act in the national interest to support British industry.
New Measures Under Nationalisation
The newly enacted law grants ministers the authority to transfer shares or property of steel businesses into public ownership. Business Secretary Peter Kyle confirmed that British Steel is now part of the British public, with efforts focused on stabilising the business, supporting communities linked with it, and advancing a sustainable and competitive steel sector in the future.
British Steel was previously owned by the Chinese firm Jingye, which planned to close Scunthorpe's blast furnaces. However, Parliament was recalled last April to approve special measures legislation to maintain operations at the site, granting ministers powers to direct asset usage and management without taking a stake.
Perspectives from Industry Leaders
Allan Bell, British Steel interim chief executive, called the nationalisation a "momentous day" for the company, acknowledging its significance for UK manufacturing and national security.
Chancellor Rachel Reeves supported the decision to bring British Steel into public ownership to stabilise the company and ensure the protection of UK steelmaking and its associated communities.
Charlotte Brumton-Childs, GMB union national officer, applauded the Government's intervention, stressing the need for continued efforts to keep the industry thriving and demanding worker representation in the nationalised company's boardroom to prevent foreign enterprise dominance.